Popeil Products, a wholesaler of fishing equipment, budgeted the following sales for the indicated months: (Click the icon to view the sales budget.) All merchandise is marked up to sell at its invoice cost plus 20%. Target merchandise inventories at the beginning of each month are 25% of that month's projected cost of goods sold. Requirements 1. Compute the budgeted cost of goods sold for the month of June 20X8. 2. Compute the budgeted merchandise purchases for July 20X8. Requirement 1. Compute the budgeted cost of goods sold for the month of June 20X8. Begin by identifying the general formula to be used to solve for the cost of goods sold. Cost Markup X Cost = Sales The budgeted cost of goods sold for the month of June 20X8 is $ 1650000 Requirement 2. Compute the budgeted merchandise purchases for July 20X8. X Data Table Use the following table to compute the budgeted merchandise purchases for July 20X8. July Merchandise Purchases Desired ending inventory June 20X8 July 20X8 August 20X8 Plus: Cost of goods sold Sales on account $ 1,850,000 $ 1,920,000 $ 1,910,000 Cash sales 130,000 156,000 274,000 Total merchandise needed 1,980,000 $ 2,076,000 $ Less: Beginning inventory Total sales $ 2,184,000 Required purchases Print Done